OLD TOWN – The economic impact of Georgia-Pacific Corp. shutting down the tissue-producing portion of its mill last week is being felt already by some area businesses.

“The sales have been down since the closing last week,” said Travis Neal, assistant manager at Old Town’s Aubuchon Hardware store. “This Sunday was the lowest Sunday we’ve had [in sales].”

Manager Gerry Gagnon said weather might have played a part in the slow sales. He added that he “expects a slower year.”

“I don’t know if people will be more tight with their money and hold off on projects like house painting,” he said.

Both said the shutdowns are what customers are talking about.

“We have a lot of accounts with different businesspeople who are coming in and talking about it because their businesses are being affected by it,” said Neal.

The owner of the Rivertree Coffeehouse Cafe, which opened its doors seven months ago, said it’s too early to tell if her business will be affected.

“It’s going to be a long-term type of thing for us to see,” said Tricia Guard. “I haven’t noticed anything different. I’m sure there will be an impact – everybody in Old Town will [feel it].”

A spokesperson for Hannaford Bros. Co., which owns the Shop n’ Save located in the Old Town plaza, reiterated Guard’s comments.

“It’s too early to say,” said Caren Epstein. “I don’t think we’ll feel any immediate impact. From Hannaford’s perspective, of course, we have concerns with the fact 300 people have lost their jobs. We have no indication right now how that will affect our business.”

The company is the largest contributor to the Good Shepherd Food Bank in Brewer, which will be working with Cross Roads Ministries of Old Town to help out laid-off workers with food.

The Penobscot Indian Nation is situated just a few miles up the Penobscot River from the mill. The number of tribal members who lost their jobs last week is unknown. However, nation officials said they are concerned for the areas surrounding the mill.

“I think it will have more of an effect on Old Town,” said Penobscot Indian Nation Department of Economic Development director Nick Dow. “Manufacturing jobs are the core of the economy. It’s going to affect all the retail stores and service industries, like restaurants and hardware stores. It affects all levels of the economy.”

Penobscot Indian Nation Chief Barry Dana said the government should have stepped in earlier to avert the situation.

“Not being a professor of economics, but it seems that everything is connected,” said Dana. “It seems like Maine’s economy needs a boost. For some reason, Maine’s business is taking a hit.”

High cost of doing business in Maine is a big reason why industries look elsewhere, Dana said.

“There have to be other ways to make businesses in Maine more attractive. It needs to be a global effort to help the locals,” he said. “We have a huge disadvantage because Canada supplements their pulp and paper industry.

“It seems like jobs are a real hot topic in the state right now,” he added. “I think that needs to be addressed.”

Dana, who was re-elected as chief this year, said he is going to ask the tribal council to help out the displaced workers.